Find out what this could mean for your business and how to avoid the increase.
As of April 1, 2025, Microsoft is implementing a 5% price increase for Microsoft 365 subscriptions that are billed monthly under an annual commitment. This adjustment aims to standardise pricing across all purchasing platforms and affects all new and renewing subscriptions on monthly billing plans. This is a global price increase by Microsoft to all customers and partners and we have no control over the price increases.
Key Changes:
- Effective Date: April 1, 2025
- Affected Plans: Annual commitment subscriptions with monthly billing
- Price Increase: 5% over the annual billing option
How can I avoid the price increase?
To avoid this price hike, consider switching to annual billing with an upfront payment at your next renewal. This change will lock in the current pricing for the duration of your subscription term.
What should I do next?
The next step is to review what 365 licenses you have within your business and see your payment plans for each. For any plans that are on monthly billing, think about locking in an annual payment to reduce costs. We can help you navigate through the plans, just get in touch with our team, to discuss how we can support your business.




